An Introduction to microeconomics is the chapter that gives a brief data about what is microeconomics and its characteristic features. This is a vast concept and various other topics are covered in this chapter – types of economy, central problems of economy at the micro level, branches of economics – micro economics and macro economics, production possibility curve (PPC), opportunity cost, marginal opportunity cost.
Basically, there are 3 types of economies. They are –
- Market economies
- Centrally planned
- Mixed economies
Frequently asked Questions on CBSE Class 12 Microeconomics Notes Chapter 1: Introduction
What is ‘Microeconomics’?
Microeconomics is the branch of economics that analyzes market behavior of individuals and firms in order to understand their decision-making processes.
What is a ‘Mixed Economy’?
A mixed economic system is a system that combines aspects of both capitalism and socialism.
What is a ‘production possibility curve’?
The production possibilities curve (PPC) is a graph that shows all of the different combinations of output that can be produced given current resources and technology.